microfinancehttp://www.ekklesia.co.uk/taxonomy/term/4910/all
enChurch loan fund helps Filipino small entrepreneurshttp://www.ekklesia.co.uk/node/16226
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<p>Some 7,000 clients are being served by Ecumenical Church Loan Fund Philippines, whose seed fund was from Eclof International, a micro-finance NGO.</p>
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<p>It is harvest time for strawberries in the northern Philippine town of La Trinidad, so strawberry farmer Alice Rivera will start repaying a loan extended by a Geneva-based ecumenical church loan fund - <em>writes Maurice Malanes</em>.</p>
<p>"This is what we appreciate ... we can start repaying our loans only immediately after the harvest season starts," said Rivera, who is 45. She is just one of 7,000 clients being served by the Ecumenical Church Loan Fund-Philippines (Eclof-Philippines), whose initial seed fund was provided by Eclof International, a non-profit micro-finance organisation.</p>
<p>Rivera, a widow and mother of a nine-year old son, has started harvesting strawberries from a 500-square-metre lot that she leases from the farm of Benguet State University, an agricultural school.</p>
<p>Starting this January up to May 2012, she expects to harvest an average of 20 kilograms every three days. As of 25 January, Rivera said she had retailed her 20-kilogram produce at one hundred pesos (about US$2.35) per kilogram.</p>
<p>"Although retail prices fluctuate ... I can still earn something, enough to send my kid to school and set aside some amount to repay my loan," she said in an interview in late January when ENInews went with four Eclof staff to visit their clients.</p>
<p>Given eight months by Eclof to pay her 20,000-peso (US$467) "agricultural loan," Rivera said she was confident she could pay off her loan before May.</p>
<p>Eclof-Philippines follows what Eclof local branch manager Valentina Tangib describes as a "flexible policy" for agricultural loans. "Before, our policy for small business and agricultural loan repayment was uniform in which we collect loan payments monthly," Tangib said.</p>
<p>Tangib and her staff found that farmers had difficulty repaying their loans since they could only start earning three months after harvest. Since five years ago, they have made it a policy that agricultural loan clients are given eight months to repay their loans.</p>
<p>Meling Telcagan, aged 60, a cut-flower farmer specialising in growing "Malaysian mums" (a species of chrysanthemum), has also been taking out Eclof's small loans since 2005. Most flower growers like Telcagan time their first harvest during February because flowers are more in demand then.</p>
<p>Besides Valentine's Day, when a dozen mums are priced at as much as two hundred fifty pesos (US$5.84) to three hundred pesos (US$7), February is also a flower festival season for neighboring Baguio City during which mums are popular items.</p>
<p>Other flower plots in Telcagan's greenhouse will be harvested in March and April, the season of school graduation, while other plots are planned for June, a wedding month.</p>
<p>"I thank God for giving my family a net income of eighty thousand pesos (US$1,869) during only a month of harvest last year," she said. Telcagan says she plans to repay her 30,000-peso (US$817) Eclof loan by March.</p>
<p>[With acknowledgements to ENInews. <a href="http://www.eni.ch/">ENInews</a>, formerly Ecumenical News International, is jointly sponsored by the World Council of Churches, the Lutheran World Federation, the World Communion of Reformed Churches and the Conference of European Churches.]</p>
<p>[Ekk/3]</p>
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Living EconomyNews Briefeclofecumenicalecumenical church loan fundmicrocreditmicrofinancephilippinesWorld NewsThu, 02 Feb 2012 23:19:51 +0000ENInews16226 at http://www.ekklesia.co.ukChristian Aid helps launch solar lighting project in Indiahttp://www.ekklesia.co.uk/node/14126
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<p>Christian Aid has teamed up with a solar lighting specialist to launch an innovative microfinance project bringing solar lighting to people in India.</p>
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<p>UK based churches' international development agency Christian Aid has teamed up with solar lighting specialist d.light design to launch an innovative microfinance project that will bring solar lighting to more than 4,400 socially excluded poor rural households in three Indian states during its first year.</p>
<p>The states of Jharkhand, Orissa and Chhattisgarh have the worst rural electrification track record in India and this will be the first time Christian Aid, working with d.light and three local partner organisations, has introduced the use of solar lanterns to its work, empowering local communities who otherwise would not have access to light.</p>
<p>Christian Aid has provided funding for the first 2,500 lanterns and will work with its Indian partners to identify young people to become 'rural entrepreneurs' who can manage the distribution and finance alongside a network of women's self-help groups. </p>
<p>The partner organisations will work with the entrepreneurs to promote the technology within the villages, train them in financial management and ensure the sustainability of the project. The self help groups will collect orders from villagers and supply the solar lanterns on credit, charged at 12 per cent annual interest over 10 months. </p>
<p>This interest will cover the administrative costs of the scheme and allow money to be reinvested in new stock which will be purchased directly from d.light, eventually making the whole project self sustaining. D.light will supply the lanterns and train the rural entrepreneurs in customer education, battery replacement and sales and demand generation.</p>
<p>The project will begin in Jharkhand, where it will reach 4,400 households, and subsequently move on to Orissa and Chhattisgarh within a year.</p>
<p>The benefits of solar lighting are many and d.light produces the world’s most affordable quality solar lanterns. All d.light lamps offer an extremely affordable source of lighting to people who are off-grid, reduce carbon dioxide emissions given off by traditional kerosene lamps and reduce incidences of burns, fatal fires and respiratory deaths caused by burning kerosene in an enclosed space.</p>
<p>Richard Ewbank, Climate Change Programme Coordinator at Christian Aid said: "Linking-up with d.light in India is very exciting and key to growing Christian Aid’s work on renewable energy, both in India and across the developing world. Solar lighting is often the first step in developing a more comprehensive decentralised renewable energy approach that can meet not only domestic energy needs but also support small-scale enterprises. For an organisation which campaigns on climate change issues this project is an important step in demonstrating that countries such as India can meet some of their energy needs both cleanly and inexpensively."</p>
<p>The majority of people living in Jharkhand, Orissa and Chhattisgarh are socially excluded communities, mainly minority ethnic and caste groups known as Adivasi and Dalits respectively. On average these communities have a family income of less than 200 rupees per month, meaning they are unable to afford the 549 or 1699 rupees that d.light’s models usually retail for in India. </p>
<p>It is for this reason that Christian Aid has worked with d.light to develop a financing mechanism that will allow poor communities to leapfrog the grid and move straight to solar lighting, the agency says.</p>
<p>In a country where almost 45 per cent of households have no access to electricity, kerosene lamps are favoured because they are cheap to buy, but they are expensive to run. A survey at the beginning of the project revealed that on average families spend between 50 and 90 rupees a month on kerosene for lighting. This project aims to reduce family monthly expenditure on lighting by 50 per cent, increase family incomes by 20-30 per cent and reduce CO2 emissions by 10,000 tonnes.</p>
<p>Alongside this project Christian Aid will empower its local partners, with support from the Ashden Collective, to undertake civil society advocacy work to promote sustainable and clean energy for poor and excluded communities. </p>
<p>Sam Goldman, CEO of d.light, said: "We are excited to partner with Christian Aid in India on this innovative distribution mondel. Utilising microfinance and rural entrepreneurs will enable us to serve hard-to-reach poor families in rural India. With our shared expertise and commitment to excellent service, I am confident that we can make a significant positive impact to the lives of thousands of households."</p>
<p>Christian Aid began working on this project with d.light after the company won the India Category of the Ashden Awards, sponsored by Christian Aid, in July 2010.</p>
<p>Christian Aid works in some of the world's poorest communities in nearly 50 countries. The agency declares: "We act where the need is greatest, regardless of religion, helping people build the lives they deserve."</p>
<p><a href="http://www.awin1.com/awclick.php?mid=1456&amp;id=50443"><em><strong>Buy Christian Aid charity gifts and support present aid online</strong></em></a>.</p>
<p>[Ekk/3]</p>
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Living EconomyNews Briefchristian aidindiamicrofinancesolar energyWorld NewsThu, 10 Feb 2011 18:13:29 +0000agency reporter14126 at http://www.ekklesia.co.ukSustainable tourism in Ghanahttp://www.ekklesia.co.uk/node/13912
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<h1 class="title">Sustainable tourism in Ghana</h1>
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<p><a href="http://www.ekklesia.co.uk/node/13912" target="_blank">read more</a></p>Beliefs and ValuesLiving EconomyNews Briefenvironmentally friendlyghanaGlobalisationlocal economymicrofinancetourismBlogFri, 07 Jan 2011 21:51:59 +0000Simon Barrow13912 at http://www.ekklesia.co.ukFinancial co-op strengthens UK ethical investment optionshttp://www.ekklesia.co.uk/node/13449
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<p>A worldwide financial cooperative that promotes global justice by empowering disadvantaged people with credit has officially launched its activities in the UK.</p>
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<p>A worldwide financial cooperative that promotes global justice by empowering disadvantaged people with credit has officially launched its activities in the UK.</p>
<p>Since 1975 Oikocredit (Ecumenical Development Cooperative Society UA) has offered loans, guarantees and investment capital to microfinance institutions, cooperatives, fair trade and other businesses. </p>
<p>Today, Oikocredit operates in more than 70 developing countries.</p>
<p>The agency has been developing its networks and investors in Britain for several years, working with church and community-related groups and individuals, including Ekklesia.</p>
<p>Oikocredit held its launch event last Wednesday (27 October 2010) at the famous St Martin-in-the Fields church, which has been associated with programmes to support the poor for many years.</p>
<p>"Oikocredit is giving people in the UK the opportunity of investing ethically and making a social difference," said spokesperson Yvonne Wilcox.</p>
<p>Sophi Tranchell, managing director of Divine Chocolate was a speaker at the launch. She declared: “Oikocredit invests in vital services for communities and individuals all over the world, giving them a first step toward being financially independent. They have the vision to give support in many innovative ways depending on the country and circumstances - their investment in Divine, the chocolate company owned by cocoa farmers in Ghana is one example - and I am delighted to see the organisation launching in the UK"</p>
<p>Patrick Hynes, Oikocredit’s UK representative added: “Oikocredit has been empowering the lives of disadvantaged people for 35 years, with investors drawn from across Europe and North America."</p>
<p>He explained: "Oikocredit finances enterprises through its own network of local offices reaching over 70 developing countries. Our 560 microfinance partners alone serve 17 million people, of those, 85 per cent are women. Women can be empowered by access to financial services and in turn, help to enrich the lives of their families and also the communities in which they live.”</p>
<p>It is possible for both individuals and organisations to invest in Oikocredit, and receive both a financial and a social return. </p>
<p>“Investing say, £4,000 in Oikocredit, with the typical dividend of two per cent per year, would give the investor £80 per year but gives the person receiving a loan a new independence”, Mr Hynes said.</p>
<p>For more information, go to: <a href="http://www.oikocredit.org/en/looking-to-invest/investors-in-uk-ireland" title="http://www.oikocredit.org/en/looking-to-invest/investors-in-uk-ireland">http://www.oikocredit.org/en/looking-to-invest/investors-in-uk-ireland</a></p>
<p>[Ekk/3]</p>
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Living EconomyNews Briefethical investmentethical investmentsmicrocreditmicrofinanceoikocreditUK NewsSun, 31 Oct 2010 22:05:04 +0000staff writers13449 at http://www.ekklesia.co.ukOikocredit wins award for development microfinancehttp://www.ekklesia.co.uk/node/13373
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<p>Oikocredit, the innovative micro-finance organisation, has been given an award in recognition of its contribution to socially responsible investing.</p>
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<p>Oikocredit, the innovative development financing organisation, has been given an award in recognition of its contribution to socially responsible investing.</p>
<p>The award has been made by The Consultative Group to Assist the Poor (CGAP).</p>
<p>Oikocredit has been operating in the UK for some time, but has its official British launch on 27 October 2010.</p>
<p>The CGAP MIV ESG Award honours the 'best in class' microfinance investors, and commends Oikocredit for its outstanding achievement in innovation and engagement with its project partners (or investees) and other industry groups.</p>
<p>Strict selection criteria for investments and transparency to investors have been integral to fulfilling Oikocredit’s mission, said Managing Director Tor G. Gull.</p>
<p>Mr Gull continued: “Dedicated Oikocredit staff in over thirty offices around the world work tirelessly to ensure Oikocredit’s commitment to its social goals, initiate social performance projects and facilitate implementation of social impact assessment tools. Environmental, social and governance criteria have, in addition to financial return, always been a part of Oikocredit’s investment policy.”</p>
<p>The award was presented to Oikocredit Manager Social Performance Ging Ledesma at a ceremony in Amsterdam, Netherlands, last week.</p>
<p>Ging Ledesma said: “As a social investor, we are committed to increasing transparency in the area of social performance management. We are thrilled to bring the Oikocredit Social Environmental and Governance Scorecard to the sector and encourage the importance of social performance management across the industry.”</p>
<p>Patrick Hynes, Oikocredit’s UK representative commented: “This award is great news and a recognition of the achievements of the staff of Oikocredit’s 32 country based local offices around the world. Our people are passionate about reaching difficult areas often avoided by other credit providers. We can be proud of what has been achieved so far and look forward to developing our work and becoming better known in the UK over the coming years.”</p>
<p>To be eligible for the ESG (environment social governance) award, Oikocredit was evaluated in four areas:</p>
<p>· Transparency of reporting</p>
<p>· Integration and enforcement</p>
<p>· Completeness of ESG framework</p>
<p>· Engagement and innovation</p>
<p>CGAP, issuing the award, received 32 applications. Only three microfinance investors (or MIVs) were selected to receive the CGAP MIV ESG Award for outstanding achievement in integration of ESG objectives. CGAP is an independent policy and research centre housed by the World Bank, dedicated to advancing financial access for the world’s poor.</p>
<p>More on Oikocredit here: <a href="http://www.oikocredit.org" title="www.oikocredit.org">www.oikocredit.org</a></p>
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Living EconomyNews BriefmicrocreditmicrofinanceoikocreditWorld NewsTue, 19 Oct 2010 23:08:14 +0000staff writers13373 at http://www.ekklesia.co.ukRe-invent global finance to end poverty, says leading microcredit economisthttp://www.ekklesia.co.uk/node/11804
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<p>A Bangladeshi economist who won the Nobel Peace Prize for championing microcredit loans to the poor, wants urgent re-invention of global finance to end poverty.</p>
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<p>The Bangladeshi economist who won the Nobel Peace Prize in 2006 for championing microcredit loans to the poor, has called for an urgent re-invention of global financial systems to end poverty and protect the underprivileged - <em>writes Fredrick Nzwili</em>.</p>
<p>Muhammad Yunus said in Nairobi, Kenya, last week that a new system could allow those excluded from mainstream banking, especially in Africa and the Middle East, to access credit that would enable them to live in dignity.</p>
<p>"We are not just happy to make ourselves rich and wealthy. We also want to make sure our fellow human beings can stand on their feet with pride and dignity, no matter where they live," Yunus said at the opening of the four-day Africa–Middle East Microcredit Summit in the Kenyan capital.</p>
<p>Around 1500 delegates from 75 countries, including representatives of Christian-based microcredit organisations, such as the Ecumenical Church Loan Fund, are attending the meeting.</p>
<p>Yunus told the gathering that the world must abandon systems that do not work, and noted that microfinance had provided good lessons in how the lives of the poor could be changed. He said that if lending to the poor was brought to the level of other financial products, more people would escape poverty.</p>
<p>"It is the time we made possible what has been thought of as impossible," said the 70-year-old, who has been dubbed the, "banker to the poor".</p>
<p>Yunus began his microcredit initiative 30 years ago with a US$27 loan to a group of women in Chittagong. Since then, the movement has grown widely and delivered millions of small loans to poor people with no access to mainstream banking services.</p>
<p>"Our journey will never end until we reach our destination. That destination is the end of poverty," he told the meeting, which ended on 10 April.</p>
<p>At the beginning of the conference, Kenya's President, Mwai Kibaki, said the global financial crisis had more than halved Africa's economic growth from 5.7 per cent in 2008 to 2.4 per cent in 2009.</p>
<p>African microfinance organisations, including church-based ones, said they hoped to learn from the success and growth of similar institutions in Asia, where more than 150 million people benefit from microfinance.</p>
<p>"We believe in microcredit. We have joined others to showcase what we have to offer in this part of the world, where people are known to depend on handouts. We want to say we can make it on our own in this part of the world. We want to say we can make a difference," Rose Wanjohi, chief executive of Kenya ECLOF, told Ecumenical News International.</p>
<p>In 2006, microcredit groups said that by 2015 they aimed to reach 175 million of the world's poorest families in order to offer them credit facilities and other financial services for businesses and self-employment. </p>
<p>[With acknowledgements to ENI. <a href="http://www.eni.ch/">Ecumenical News International</a> is jointly sponsored by the World Council of Churches, the Lutheran World Federation, the World Alliance of Reformed Churches and the Conference of European Churches.]</p>
<p>[Ekk/3]</p>
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Living EconomyNews BriefeconomicsmicrocreditmicrofinanceoikocreditWorld NewsTue, 13 Apr 2010 08:22:13 +0000Ecumenical News International11804 at http://www.ekklesia.co.ukChristian co-operative micro-credit initiative reaches 1 billion Euroshttp://www.ekklesia.co.uk/node/11616
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<p>A Christian microfinance initiative has reported 13 per cent growth in 2009, despite the global economic downturn, with its total loans passing the €1 billion mark.</p>
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<p>A Christian microfinance initiative has reported 13 per cent growth in 2009, despite the global economic downturn. </p>
<p><a href="http://www.oikocredit.org/">Oikocredit</a> - one of the world's largest private financiers of the microfinance sector - achieved record high inflows last year. </p>
<p>Its total assets grew by 13 per cent to a total of €537 million at year end. </p>
<p>Oikocredit's board of directors say they will propose to its members that the payment of a two per cent dividend its investors receive should be continued. </p>
<p>Tor G. Gull, Managing Director of Oikocredit said: “Another landmark was reaching €1 billion in cumulative committed loans and investments since Oikocredit began its operations in 1975. </p>
<p>"I am proud that despite the economic downturn, still large numbers of individuals and institutions invested in Oikocredit’s mission to empower poor people.”</p>
<p>Oikocredit pays a modest dividend to its members, who put their financial interests after the social benefit that their money can have. </p>
<p>Despite the recession, during 2009 large numbers of individuals and institutions invested in Oikocredit’s mission to empower poor people. </p>
<p>The close-knit network of regional offices and experts enables Oikocredit to work with partners who provide loans to people in the poorest areas, where both the risks and social returns can be high. Oikocredit’s aim is to also work in regions often avoided by other financial institutions. </p>
<p>Oikocredit is a co-operative financial institution which offers loans or investment capital to 790 microfinance institutions, cooperatives and small and medium sized enterprises in over 70 countries. </p>
<p>The project partners currently financially supported by Oikocredit currently reach out to a total of 17.5 million people. </p>
<p>Oikocredit is privately financed by individuals, organisations and churches. </p>
<p>[Ekk/2]</p>
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Living EconomyNews BriefmicrocreditmicrofinanceoikocreditUK NewsFri, 26 Mar 2010 10:08:55 +0000staff writers11616 at http://www.ekklesia.co.ukSmall loans can help debt problem in poor countries, agency sayshttp://www.ekklesia.co.uk/node/10883
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<p>The threat of entrepreneurs in poor countries taking on too much loan debt is a growing reality, and a real threat to the rapidly expanding microfinance sector, says fair finance body Oikocredit.</p>
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<p>The threat of entrepreneurs in poor countries taking on too much loan debt is a growing reality, and a real threat to the rapidly expanding microfinance sector, says the fair finance body Oikocredit – which provides affordable loans to vulnerable but enterprising communities throughout the world. </p>
<p>At Oikocredit’s annual staff and board meetings, regional managers, who operate in almost 70 different countries, raised concerns over the rate of over-indebtedness in some nations. </p>
<p>Those working in the field say cases of over-indebtedness are becoming more common. </p>
<p>Oikocredit says urgent action is needed and its board and staff defined an immediate action plan to address the issue.</p>
<p>Microfinance, which allows poor people and small entrepreneurs to receive financial services they could otherwise not access, has grown at a tremendous pace, the agency points out. </p>
<p>While some regions continue to struggle with inactive microfinance institutions (MFIs) and an unmet demand for financing, others are experiencing the reverse. </p>
<p>MFIs must expand to become financially sustainable, says Oikocredit. They need to aim for scale and strive to reach out to more and more clients. </p>
<p>In some cases, especially with the entrance of profit-driven actors, this leads to an increase in competition and results in institutions reaching out to the same clients in the same (often urban) areas. </p>
<p>Oikocredit regional directors reported stories of clients with loans by more than two, three or even five different microfinance institutions. The over-indebtedness of clients, and sometimes abusive collection practices, are an often-noticed consequence of multiple lending.</p>
<p>As a socially driven organisation, Oikocredit remains “seriously concerned about the consequences of these developments for the microfinance industry, but more importantly for our end clients.”</p>
<p>“Credit is a stepping stone out of poverty - as long as repayment is possible. If repayment becomes an insurmountable burden, a client becomes over-indebted. We do not want MFIs and their clients to fall into this trap. Organisations providing funds have an extremely important responsibility,” says Oikocredit's managing director, Tor Gull.</p>
<p>To address these challenges, Oikocredit has resolved that field staff in its 33 offices around the world will consult and negotiate with local and regional partners. </p>
<p>“The negative consequences of competition can only be effectively solved through agreements on a national level and by joint initiatives,” the agency says.</p>
<p>Oikocredit, an initiative of churches and civil society investors, is also contacting other socially oriented investors to seek collaboration in tackling debt and poverty concerns. </p>
<p>-----</p>
<p>You can make a difference and see your contribution multiply by investing in Oikocredit. In the UK, go to: <a href="http://www.oikocredit.org/" title="www.oikocredit.org/">www.oikocredit.org/</a></p>
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Living EconomyNews BriefdebtmicrofinanceoikocreditWorld NewsSat, 19 Dec 2009 09:07:12 +0000staff writers10883 at http://www.ekklesia.co.ukMicrofinance is vital to human and social development, audit suggestshttp://www.ekklesia.co.uk/node/10404
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<p>Oikocredit, a leading socially-committed investor in microfinance, has released the results of its social audit, looking to enhance human welfare through economic performance.</p>
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<p>Oikocredit, a leading socially-committed private investor in microfinance, has just released the results of its social audit, looking at how to enhance human welfare through economic performance. </p>
<p>Drawing individuals and groups into providing vital loans for hard-pressed but enterprising communities in some of the poorest parts of the world is Oikocredit's specialist role. </p>
<p>The idea is to keep money working for change, rather than concentrating on one-off donations, to encourage participation and to enable grassroots economic development. 'Fair finance', in short. </p>
<p>Measuring both the financial performance and social progress of the world's economies is a major question, acknowledged by the organisation which has strong roots in the churches and in civil society.</p>
<p>The lively existing debate on the macro-economic indicators following the global crash, has been enhanced by the latest report of the Commission headed by Nobel Prize winner, Joseph Stiglitz. </p>
<p>On a micro level too, tools and indicators are now in the process of being developed and tested. Oikocredit's social audit aims to be at the cutting edge of these developments, and is "the first of its kind", it says - trying to find out whether its work in providing small-acale finance really does fulfil its social mission and maintain its values. </p>
<p>"For Oikocredit and its investors, it is essential to know that investments of some €370 million lead to positive changes in the lives of the working poor," a spokesperson explained. </p>
<p>In the past few years, Oikocredit has taken substantial steps to assess the social performance of its 500 partners. Since 2005, it has notably increased the number of tools used to monitor and assess social performance. </p>
<p>In addition to impact studies, Oikocredit carefully reviews its partners’ aims, their products and services, their interest rates and their gender and environment policies, the NGO says.</p>
<p>"The latest innovation in social performance measurement is to look not only at the performance of the microfinance institutions, but also to undertake a social audit of private financiers." </p>
<p>Oikocredit, by turning the examination on itself, is the first financier to collaborate with Cerise in the on-going development of the social audit tool. </p>
<p>Cerise is at the forefront of social performance monitoring, and serves as an exchange platform on practices in microfinance. </p>
<p>Cerise’s Social Performance Indicator tool, a social audit instrument for microfinance institutions, is recognised by professional networks and donors worldwide. It is currently being developed to analyse financiers’ internal systems and processes. </p>
<p>Oikocredit emphasises that collaboration in this development process reflects its commitment to a serious assessment of its policies, procedures, products and services in the light of human need and development. </p>
<p>In terms of major findings, the social audit report reveals that Oikocredit has succeeded in developing a strong social mission and vision, committed human resources, trained staff and innovation. </p>
<p>It also has a clear focus on rural development and it finances a wide range of institutions, from small village banks to medium and large established institutions. </p>
<p>The report suggests that it is succeeding in meeting the needs of partners that require financing in local currencies (some 45 per cent of the total capital outstanding).</p>
<p>But the audit also indicates a range of challenges for the organisation - including understanding its microfinance partners and helping them to know their 16.8 million clients better and to improve their products. </p>
<p>"The main challenge is now to operate the shift from collection and assessment of data to management. This implies a pro-active strategy to improve and promote social performance," says Oikocredit. </p>
<p>Using the outcome from this audit, Oikocredit is now able to update its social performance procedures and further develop its outreach strategy, products and services. </p>
<p>"Fulfilling our mission means both investors and clients can benefit from the social and financial empowerment of an Oikocredit loan," the NGO comments.</p>
<p>Oikocredit has been expanding its supporter base in the UK recently, with the involvement of churches and community groups. For more information about how to get involved and "make small sums of money go a long way in sustaining global development", go to: <a href="http://www.oikocredit.org/site/en/doc.phtml?p=investors-in-britain-ireland" title="http://www.oikocredit.org/site/en/doc.phtml?p=investors-in-britain-ireland">http://www.oikocredit.org/site/en/doc.phtml?p=investors-in-britain-ireland</a></p>
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<p>A Social Audit Summary is available in *.PDF (Adobe Acrobat) form here:<br />
<a href="http://www.oikocredit.org/documents/doc/social-audit-summary-2009-v2.pdf" title="www.oikocredit.org/documents/doc/social-audit-summary-2009-v2.pdf">www.oikocredit.org/documents/doc/social-audit-summary-2009-v2.pdf</a> </p>
<p>See also Cerise: <a href="http://www.cerise-microfinance.org" title="www.cerise-microfinance.org">www.cerise-microfinance.org</a></p>
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Living EconomyNews BriefEconomyfair financemicrofinanceoikocreditWorld NewsThu, 15 Oct 2009 12:50:54 +0000staff writers10404 at http://www.ekklesia.co.ukGrowing global alternatives locallyhttp://www.ekklesia.co.uk/node/9087
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<h1 class="title">Growing global alternatives locally</h1>
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<p><a href="http://www.ekklesia.co.uk/node/9087" target="_blank">read more</a></p>Living EconomyPeople and Powerclimate changeCommentsEconomyMedia Centremicrocreditmicrofinanceput people firstSun, 29 Mar 2009 00:01:33 +0000Press Office9087 at http://www.ekklesia.co.ukGive loans to the developing world and get a ten percent returnhttp://www.ekklesia.co.uk/node/8097
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<p>A pioneering charity has launched a new initiative in the face of the credit crunch, to take loans from people who need a decent return on their income, and invest their money to help those in the developing world.</p>
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<p><a href="http://www.awin1.com/cread.php?s=114837&amp;v=2154&amp;q=78250&amp;r=50443"><img src="http://www.awin1.com/cshow.php?s=114837&amp;v=2154&amp;q=78250&amp;r=50443" border="0" align="left" hspace="5" /></a></p>
<p>A pioneering charity has launched a new initiative in the face of the credit crunch, to take loans from people who need a decent return on their income, and invest their money to help those in the developing world.</p>
<p>Offering a return of up to 10% on the loans that they take, the charity RedAid connects investors with people who need money for life-saving projects in Africa and Asia.</p>
<p>The charity calles it 'Positive, Renewable Philanthropy'. It works on the investment principle that normally, the people best placed to deliver relief and development work are local people. The charity also points out that these people are usually the worst funded and least supported.</p>
<p>RedAid doesn’t believe in just giving handouts. It believes that people should be given the incentive, the encouragement, the help and the support to help themselves sustainably - for the long-term. It therefore takes the loans that people give them, and connects the investment with people who will really benefit.</p>
<p>It already has an impressive track record, working with local charities in areas affected by the cyclone in South East Asia. In Sri Lanka it has helped rebuild the businesses of fishermen affected by the Tsunami including helping them to repair (and buy) boats &amp; equipment. It has also helped people to rebuild houses affected by earthquakes in Pakistan.</p>
<p>What will attract many investors ia that they can also get a substantial return on their investment at a time of falling interest rates.</p>
<p>The charity is able to repay the loans with interest (up to 10 per cent) because it raises donation funds separately for the loan funded projects &amp; programmes. These additional funds come from public and private donors as well as public &amp; corporate trusts, grant making bodies, government agencies and social funds. They also have have private and dedicated supporter groups who acts as loan underwriters. They use these donation funds to repay all loans in full, along with any returns, on dates agreed when the loans are made.</p>
<p>The charity hopes that many would-be 'Venture Philanthropers' will also consider investing their returns in future projects.</p>
<p><strong><a href="http://www.awin1.com/awclick.php?mid=2154&amp;id=50443" target="_blank">Find out more by clicking here to visit the RedAid website</a></strong></p>
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Living EconomyNews BriefCharity giftseconomic downturnecumenical loan fundEthical Financeethical investmentloan returnloansloans to the developing worldmicrocreditmicrofinanceoikocreditUK NewsMon, 01 Dec 2008 14:34:07 +0000staff writers8097 at http://www.ekklesia.co.ukNew initiative to provide small loans to developing worldhttp://www.ekklesia.co.uk/node/7964
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<p>Opportunity International, the world's largest Christian microfinance organization, has announced the launch of <a href="http://www.optinnow.org">OptINnow</a>, a new initiative in the fight against global poverty. Based in the US, OptINnow connects people who want to make a difference with the working poor around the world who need small business loans to lift themselves out of poverty.</p>
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<p>Opportunity International, the world's largest Christian microfinance organization, has announced the launch of <a href="http://www.optinnow.org">OptINnow</a>, a new initiative in the fight against global poverty. </p>
<p>Based in the US, OptINnow connects people who want to make a difference with the working poor around the world who need small business loans to lift themselves out of poverty. </p>
<p>Through the new online donation model, consumers "opt in" - for as little as $25 - to become part of a global movement to help transform the lives of entrepreneurs throughout the developing world. </p>
<p>Millions of poor people, many of whom live on less than $2 a day, struggle to fund businesses and make enough money for their families to survive. A single loan from OptINnow starts the cycle of poverty alleviation, helping poor entrepreneurs to start or expand a business, and enabling them to provide better nutrition and schooling for their families and job creation in their communities. </p>
<p>"Donating on OptINnow.org is simple and the impact is powerful," said Mark Smalls, senior vice president of marketing, Opportunity International. "As our clients repay the loans, the money is loaned again and again to help many more entrepreneurs. It's giving that keeps going." </p>
<p>Visitors to OptINnow.org can read the story of each entrepreneur, which includes her or his name, photo, business profile and business needs, and then select one or more clients to support. The site currently features entrepreneurs in Kenya, the Philippines and Mexico, with more countries to be added in the coming weeks. </p>
<p>Beyond funding a loan, people can purchase gift cards and encourage others to fund an Opportunity International client through OptINnow. Supporters also can start groups of their friends, school, church or business associates to fund loans collectively, engaging more people in Opportunity International's mission to help end world poverty. </p>
<p>"OptINnow will assist us in reaching our goal to help 100 million poor people work their way out of poverty by 2015," said Christopher A. Crane, president and CEO of Opportunity International. "By expanding our supporter network, we hope to create a grassroots movement to get thousands of people to reach out with a hand up to the working poor." </p>
<p><a href="http://www.opportunity.org">Opportunity International</a> serves approximately 1.2 million poor entrepreneurs in 28 developing countries, Opportunity International is a pioneer in offering small business loans, savings, insurance and training in basic business practices to women and men living in chronic poverty. </p>
<p><a href="http://www.optinnow.org">You can visit OptINnow here</a></p>
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Living EconomyEthical Financemicrocreditmicrofinanceopportunity internationalOptINnowLifestyleThu, 13 Nov 2008 09:06:59 +0000agency reporter7964 at http://www.ekklesia.co.ukWe can use the market to tackle poverty, says Nobel Prize winnerhttp://www.ekklesia.co.uk/node/6765
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<p>Harnessing the power of the market to help solve the problems of global poverty, hunger and inequality is both possible and necessary, a Nobel Peace Prize winner told an invited audience of specialists in London on Thursday night.</p>
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<p>Harnessing the power of the market to help solve the problems of global poverty, hunger and inequality is both possible and necessary, a Nobel Peace Prize winner told an invited audience of specialists in London on Thursday night.</p>
<p>Professor Muhammad Yunus is doing what some have regarded as squaring the circle through microfinance: the innovative social banking programme that provides people who are poor, mainly women, with small loans which they use to launch businesses and lift their families out of poverty.</p>
<p>Patrick Hynes from Oikocredit, which is seeking new investors in Britain, was at the event, one of the Professor Yunus’s recent series of talks to promote his new book. </p>
<p>At this meeting of the Microfinance Club UK, Yunus outlined his vision of Social Business, and recounted inspiring personal stories of the people who want to “put poverty in a museum”.</p>
<p>Hynes told Ekklesia: "It was fascinating to hear Professor Yunus speak, reflecting on the success of the Grameen microfinance bank he founded. It is remarkable that due to this social bank, Bangladesh is on target to reach UN Millennium Goal One: to halve the number of people living in extreme poverty and hunger." </p>
<p>He continued, "the professor gave some wonderful insights into some of the lives of the now second generation Grameen borrowers. He talked of a mother who was illiterate: who took out a loan for her business and then later for her daughter’s education. The daughter is now a medical doctor."</p>
<p>Yunus declared, “I look at the mother and I think: she could have been a doctor too. I meet the grandmother and I think the same the thing”. </p>
<p>This simple message is at the very heart of the life changing work of microfinance, he explained. “Poverty is the fault of the system and not the people. Being an entrepreneur, a student, a doctor, has nothing to do with being special. It is about opportunity”.</p>
<p>Oikocredit's Patrick Hynes said: "These are extraordinary stories from a humble man who has dedicated his live to creating a world without poverty. Stories of the triumph of hope, in the face of a seemingly impossible task."</p>
<p>"If you want to be inspired I recommend his book, Banker to the Poor, which tells the whole story. Of course, the new book is also now available, Creating a World Without Poverty," he said.</p>
<p>Hynes added: "If you want to take action, then why not consider investing in Grameen, and the other microfinance institutions who are creating opportunities for people. In the UK an investment in microfinance can be made through the Oikocredit International Share Foundation."</p>
<p>More about Oikocredit, a co-operative partnership involving churches and otherss, is available here: <a href="http://www.oikocredit.org.uk" title="www.oikocredit.org.uk">www.oikocredit.org.uk</a></p>
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Living EconomyPeople and PowerNews BriefchurchesDevelopmentmicrofinanceoikocreditpovertyProfessor Muhammad YunusUK NewswomenSat, 16 Feb 2008 00:01:01 +0000staff writers6765 at http://www.ekklesia.co.ukOikocredit celebrates growth in loan money and global social impacthttp://www.ekklesia.co.uk/node/6750
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<p>Oikocredit, the leading private international microfinancier, which gives support to poor communities and social enterprise, has announced a significant growth in activity and impact in its preliminary results for 2007.</p>
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<p>Oikocredit, the leading private international microfinancier, which gives support to poor communities and social enterprise, has announced a significant growth in activity and impact in its preliminary results for 2007. </p>
<p>The figures reveal an unprecedented growth in disbursals of 44% compared to 2006: a total of 135 million Euros was disbursed to 267 project partners. The total amount outstanding with these partners is 277 million Euros, an increase of 33%. Considering these overall positive results, Oikocredit says it intends to continue paying a dividend of 2% to its members.</p>
<p>Oikocredit was originally established by the World Council of Churches, but it works with people of all faiths and none in seeking to puts small-scale loans to work in support of economically deprived communities and those at the cutting edge of development and social change in an unequal world.</p>
<p>At present, the group is looking to expand its range of investors from Britain.</p>
<p>Oikocredit now supports 637 institutional project partners in the field, including 390 microfinance institutions (MFIs). Through these partners, its funding reaches more than 630,000 individual clients throughout the developing world, improving millions of lives in the process. </p>
<p>“The figures tell a very positive story,” said Oikocredit Managing Director Tor G. Gull. “But growth is not only measured in financial performance. It’s also a question of social impact, reaching out to those who need support most.” </p>
<p>Credit for development has become a dynamic market, especially in the microfinance sector. In 2007, total member capital increased by 16% to 319 million Euros. Despite this increase, demand continues to outpace supply. Several new initiatives were taken during 2007 to attract even more capital and further expand the Oikocredit investor base.</p>
<p>During 2007, Oikocredit began issuing shares in British pounds, Canadian dollars and Swedish kroner, in addition to Euros and US dollars.<br />
In 2008, possibilities to offer a savings product will be explored, based on a successful pilot project in South Tirol, Italy, executed in collaboration with a local Raiffeisenbank. </p>
<p>Finally, in October 2007, Oikocredit took part in the launch of MicroPlace, an innovative online system of investing. A wholly owned subsidiary of E-bay, MicroPlace opens up the possibility of investing in microfinance to the retail investor in the US, starting with as little as $100. </p>
<p>In addition to microfinance, Oikocredit supports other types of organisations in developing countries such as fair trade producers, agriculture cooperatives, small and medium enterprises. Moving forward, Oikocredit is seeking to increase its investments in such organisations in 2008. </p>
<p>Oikocredit’s 2007 Annual Report will be published at the end of the first quarter of 2008 and will be available at <a href="http://www.oikocredit.org" title="www.oikocredit.org">www.oikocredit.org</a>. </p>
<p>The opportunity to invest directly in UK Pounds was launched in October 2007. To date, there have been 41 new investors from the UK providing a total investment of £351,000. </p>
<p>“This may seem a small contribution in total, but this will help many more individuals work their way out of poverty”, said Patrick Hynes, Oikocredit’s UK National Representative. “It’s a very encouraging start, and I hope 2008 will see many more new Oikocredit investors”.</p>
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<p>Those interested in helping can download a <a href="http://212.204.211.114/sa/uk/doc.phtml?p=Investing3">UK prospectus and application form</a> and also get information <a href="http://212.204.211.114/sa/uk/doc.phtml?p=GlobalSA_EN_Projects">about projects</a> which show how the money is used. Further questions may be directed to the <a href="http://212.204.211.114/sa/uk/doc.phtml?p=Contact4">Oikocredit UK Representative, or your local support association.</a></p>
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Living EconomyNews BriefDevelopmentfair financeinvestmentJusticemicrofinancemoneyoikpcreditpovertysocial changeukUK NewsThu, 14 Feb 2008 07:19:16 +0000staff writers6750 at http://www.ekklesia.co.ukUK boost for Oikocredit global social investment initiativehttp://www.ekklesia.co.uk/node/6584
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<p>Oikocredit, a global member-based social investment co-operative which makes small loans to hundreds of vital development projects, has expressed hope that it will "really take off" in the UK after receiving its first major contribution.</p>
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<p>Oikocredit, a global member-based social investment co-operative which makes small loans to hundreds of vital development projects, has expressed hope that it will "really take off" in the UK after receiving its first major contribution.</p>
<p>The Society of the Sacred Heart, a religious order, are Oikocredit’s first substantial investor in pounds sterling. </p>
<p>Oikocredit already has 27,000 investors worldwide, who have raised millions of Euros to support economically disadvantaged people working creatively against poverty and for human and environmental development. It needs more, especially in Britain.</p>
<p>Sister Bernadette Porter, Provincial treasurer of the Society of the Sacred Heart, explained: “Like many religious orders experiencing diminishing vocations, we seek out ways of continuing our mission with fewer people. Oikocredit’s mission was one we could share; extending credit to marginalized people irrespective of their faith, culture, age or gender and favouring initiatives for women as the backbone of families and thus society as a whole”. </p>
<p>Sacred Heart Sisters work in schools, parishes, hospitals, prayer centres, universities, airports and many other places. Their charitable objectives emphasise projects involving education and social justice. An investment in Oikocredit is considered an extension of their ministry to educate and empower others to help themselves.</p>
<p>This is a great start for Oikocredit UK’s work in 2008, says its backers, who include Ekklesia, the think-tank on religion and society which also seeks to be a "do-tank". </p>
<p>The demand for credit is growing and Oikocredit’s inflow of investments needs to keep up with this demand, the group explains. </p>
<p>For Patrick Hynes, Oikocredit’s representative in the UK, this has been a welcome start to developing UK investments. “Since the UK launch in October 2007, we now have around 30 new UK investors and £300,000 invested. It is a challenging task for the volunteers and myself, so the Society of the Sacred Heart’s early support is very encouraging." </p>
<p>Hynes continued: "Hopefully this will lead to others finding out about Oikocredit and making their investment, whether it’s a large institutional investment or a modest investment from an individual.”</p>
<p>Oikocredit is a global member-based co-operative with its international office based in the Netherlands. It has a network of offices in countries where lending takes place, and 37 support associations raising investment from across the world.</p>
<p>Hynes explains: "People's investment enables Oikocredit to back microfinance institutions (MFIs), co-operatives and small to medium sized enterprises. Loans have proven to be very effective in stimulating economic productivity. Where grants may lead to dependency, loans create a real business partnership based on mutual respect. Plus, repaid loans are recycled time and again into new loans."</p>
<p>He adds: "If you invest £1,000, with Oikocredit's usual dividend standing at 2% per annum, this will normally provide you a financial return of £20 plus a substantial social return. If you placed that money in the bank you might earn say £50, a difference of £30. You could of course donate £30 to charity, but ask yourself what will do more good: a donation of £30 or a loan of £1,000?"</p>
<p>Those interested in helping can download a <a href="http://212.204.211.114/sa/uk/doc.phtml?p=Investing3">UK prospectus and application form</a> and also get information <a href="http://212.204.211.114/sa/uk/doc.phtml?p=GlobalSA_EN_Projects">about projects</a> which show how the money is used. Further questions may be directed to the <a href="http://212.204.211.114/sa/uk/doc.phtml?p=Contact4">Oikocredit UK Representative, or your local support association.</a></p>
<p>Ekklesia co-director Simon Barrow said: "Oikocredit is an important and imaginative initiative which demonstrates how ground-up action can help reshape social and economic priorities in a divided and unequal world. This is the kind of thing our research and reporting is seeking to highlight."</p>
<p>He added: "With its origins in work carried out by the World Council of Churches, it is also a great example of Christians working alongside those of other faith or simply 'good faith' and furthering the human good without regard to the things - including religion, sadly - that can sometimes separate us. It is also one very positive answer the the often asked question, 'what can I do that will make a difference?'"</p>
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Living EconomyPeople and PowerNews Briefalternative economicsdeveopmentloansmicrofinanceoikocreditpovertysocial investmentUK NewsTue, 15 Jan 2008 09:59:44 +0000staff writers6584 at http://www.ekklesia.co.uk